Ajit Mishra, VP - Research, Religare Broking:
Markets ended almost on a flat note amid volatility, in continuation to the prevailing consolidation phase. The benchmark initially opened on a firm note and inched higher in the first half however underperformance of the banking majors combined with profit taking in select index majors dragged the indices lower in the latter half. Consequently, the Nifty index ended lower by 0.2% at 15,722 levels. Amongst the sectors, banking, oil gas and realty were the top losers whereas IT and consumer durables ended with gains.
Global cues and updates on the new variant of Coronavirus would continue to dictate the trend in near future. On the domestic front, participants will also be closely eyeing the auto sales and PMI data for cues. Meanwhile, we reiterate our advice to restrict naked leveraged positions and wait for clarity.
Sahaj Agrawal, Head of Research- Derivatives at Kotak Securities
Nifty continues to remain in medium term uptrend with buying advisable on aggressive dips; expect volatility before momentum support gets triggered. In the near term expect range bounce movement as short term indicators are stretched. IT, Metals and Pharma are expected to do well while BFCI and Midcap stocks can be bought on corrections.
Rahul Gupta, Head Of Research- Currency, Emkay Global Financial Services:
The rupee is on an edge, for which the greater sensitivity probably lies towards stronger US data and a stronger dollar. Overall, fx market is focusing on a potentially hot US labour report or the degree to which new covid variant reduces recovery expectations. So until the USDINR spot trades above 73.75-73.80, it will remain afloat with immediate resistance around 74.50 and then 74.75 zone. While the major supports lie around 73.75-73.50-73.45.
Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments
We were unable to get past the range today, 15900 continues to be a major road block for the Nifty. If we can cross that, we will head to 16100. Until then we will vacillate between 15400 and 15900 on the back of lackluster volumes. 15400 is a good support for the markets and until we do not disrespect that on a closing basis, the macro trend continues to remain bullish.
European markets are trading lower with FTSE, CAC and DAX down 0.4-0.9 percent
Euro zone inflation eases before expected march higher
Euro zone inflation eased this month, levelling off for the summer months before an expected move well above the European Central Bank's target towards the autumn on higher commodity prices.
Inflation in the 19 countries sharing the euro slipped to 1.9% in June from 2.0% in May, in line with forecasts in a Reuters poll and right on the ECB's target of "below but close to 2%".
Rupee Close:
Indian rupee ended lower by 9 paise at 74.32 per dollar, amid volatility saw in the domestic equity market.It opened flat at 74.22 per dollar against previous close of 74.23 and traded in the range of 74.22-74.44.
Refinery expansion to reduce OIL’s rating headroom: Fitch Ratings
Fitch Ratings expects the rating headroom for Oil India (BBB-/Negative) to reduce in the medium term as leverage will rise, when it accelerates capex to expand capacity at Numaligarh Refinery Limited (NRL).
Market Close
: Benchmark indices erased all the intraday gains and ended lower in the highly volatile session on June 30.
At close, the Sensex was down 66.95 points or 0.13% at 52482.71, and the Nifty was down 27 points or 0.17% at 15721.50. About 1503 shares have advanced, 1455 shares declined, and 97 shares are unchanged.
Among sectors, except IT, all other indices ended in the red with Nifty Bank index falling 0.7 percent. BSE Midcap ended flat, while Smallcap index gained 0.5 percent.
Shree Cements, Bajaj Finserv, Power Grid Corp, ICICI Bank and UPL were among top losers on the Nifty. Top gainers were Coal India, Divis Labs, Reliance Industries, Infosys and SBI Life Insurance.
Ashis Biswas, Head of Technical Research at CapitalVia Global Research:
The market witnessed a very volatile movement in the range of 15740-15840. Trading above 15800 is positive from a short-term perspective. If the market closes below 15800, the market expects a correction till the level of 15650.
The technical indicator suggests, a volatile movement in the market in the range of 15650-15900. As such the traders are advised to refrain from building a fresh buying position until further decisive movement is seen in the market.
Tech Mahindra announces partnership with TAC Security
Tech Mahindra announced partnership with TAC Security to enable next-generation enterprise security for customers globally. The partnership will leverage artificial intelligence and user-friendly analytics to help measure, prioritize, and mitigate vulnerabilities across the entire IT stack.
Tech Mahindra was quoting at Rs 1,093.85, up Rs 5.30, or 0.49 percent on the BSE.
Vindhya Telelink share price hits 52-week high
Vindhya Telelink touched a 52-week high of Rs 1,420, rising over 15 percent on June 30 after the company reported improved numbers for the quarter ended March 2021.
The company reported a sharp jump in consolidated profit at Rs 116.04 crore in Q4 FY21 against Rs 38.26 crore in Q4 FY20.
Its revenue jumped to Rs 556.56 crore from Rs 459.08 crore YoY.
Abhishek Bansal, Founder Chairman, Abans Group
Gold prices traded negative as the dollar index found safe-haven support from growing concern that more countries will need to re-impose pandemic lockdowns as the dangerous Delta Covid-19 variant spreads throughout the world.
Gold is currently trading near $1759 which is sharply lower than the recent high of $1919.20 registered on June 1st. Meanwhile, the US dollar index currently trading above 92.0 which is sharply higher from the recent low of 89.53 registered on May 25th.
Gold prices are likely to continue a negative trend while below the key resistance level of $1793-$1803 while an immediate support level could be seen near $1735-$1720.
Market at 3 PM
Benchmark indices erased all the intraday gains and trading flat dragged by the financial names.
The Sensex was up 1.70 points or 0.00% at 52551.36, and the Nifty was down 7.30 points or 0.05% at 15741.20. About 1574 shares have advanced, 1371 shares declined, and 96 shares are unchanged.
Nifty Bank index shed 0.5 percent dragged by the IDFC First Bank, AU Small Finance Bank, PNB
Rupee Updates
:
Indian rupee is trading near the day's low level at 74.40 per dollar, amid volatility seen in the domestic equity market.
It opened flat at 74.22 per dollar against previous close of 74.23.
Tata Motors bags order from Indian Oil:
Tata Motors on Wednesday said it has bagged an order for 15 hydrogen-based fuel cell buses from the Indian Oil Corporation Limited (IOCL). The auto major noted that IOCL had invited bids for supply of the hydrogen-based proton exchange membrane (PEM) fuel cell buses in December 2020. All 15 buses will be delivered within 144 weeks from the date of signing of the memorandum of understanding (MOU), it added.
NBCC gets Rs 206 crore order from Odisha Hydro Power Corporation
State-owned construction company NBCC has bagged a project worth Rs 206 crore from Odisha Hydro Power Corporation Ltd. NBCC (India) has been awarded the work order for engagement as Project Management Consultant for undertaking various civil works of Odisha Hydro Power Corporation, according to a regulatory filing. The stock was trading at Rs 54.20, up Rs 1.30, or 2.46 percent. It has touched an intraday high of Rs 55.05 and an intraday low of Rs 52.40.
Tapan Patel- Senior Analyst (Commodities), HDFC Securities:
Crude oil prices traded firm with benchmark NYMEX WTI crude oil prices were trading 0.14% up at $73.08 per barrel for the day. MCX Crude oil July futures were trading 0.24% up at Rs 5440 by noon.
Crude oil prices are expected to trade sideways to up for the day with resistance at $74.50 and support at $72 per barrel. MCX Crude oil July has support at Rs 5350 and resistance at Rs 5520.
European markets are trading in the red with FTSE, CAC and DAX down half a percent each
Market update
: Sensex is up 178.79 points or 0.34% at 52728.45, and the Nifty added 47.50 points or 0.30% at 15796. Infosys, Coal India and Divis Labs are the top gainers while Shree Cements, Power Grid and Eicher Motors are the top losers.
Among the sectors, metals and IT added over half a percent each while the midcap and smallcap indices are also trading in the green.
Yash Gupta Equity Research Associate, Angel Broking:
Pharma Majors- Cipla, Dr. Reddy’s, Sun pharma, Torrent pharma and Emcure are collaborating for the Clinical Trial of Investigational Oral Anti-Viral Drug Molnupiravir for treatment of mild COVID-19 patients in India.
Molnupiravir is an oral anti-viral that inhibits the replication of multiple RNA viruses including SARS-CoV-2. This drug can be used for the patients who have tested positive for Covid 19 and non-hospitalized. The five pharma companies have entered into a collaboration agreement, wherein the parties will jointly sponsor, supervise, and monitor the clinical trial in India.
As per the directive of the Subject Expert Committee (SEC) of the Central Drugs Standard Control Organization, Dr. Reddy’s will conduct the clinical trial using its product, and the other four pharma companies will be required to demonstrate equivalence of their product to the product used by Dr. Reddy’s in its clinical trial.
Though the covid cases in India are stabilizing at 50000 cases per day, the fear of 3rd wave and Delta plus variants cannot be ruled out. This drug will help the mild cases of covid to be treated at home and decrease the requirement of hospitalization in such cases. This is positive for all the companies.
Buzzing
Cummins India share price gained over 3 percent and the stock has surged over 120 percent in the 12 months.
The IT firm reported a net profit of Rs 168.56 crore for the fourth quarter of March 2021 which was lower by 0.99 percent YoY on the back of sharp spike in input costs during the quarter.
Net margins came in at 13.42 percent for March 2021 quarter which was lower than 16.02 percent NPM in the March 2020 quarter.
Research and broking firm Kotak Institutional Equities has retained its buy call on the stock with a target price of Rs 1,030 per share. The firm has increased fair value by 10 percent to account for modest business benefits of CPCB-IV norms, according to a CNBC-TV18 report.
Central Bank of India, IOB shares hit 52-week high:
Central Bank of India and Indian Overseas Bank stocks have been in focus ever since the Cabinet Secretary-led panel selected the banks for privatisation.
Indian Overseas Bank (IOB) and Central Bank of India (CBI) are likely candidates for disinvestment, the news channel reported citing sources.
The two state-run banks might see 51 percent stake sale in the first phase of disinvestment. Click to Read More
Market at 1 PM
Benchmark indices were trading near the day's high level with Nifty holding above 15800.
The Sensex was up 272.83 points or 0.52% at 52822.49, and the Nifty was up 77 points or 0.49% at 15825.50. About 1786 shares have advanced, 1106 shares declined, and 100 shares are unchanged.
Gaurav Garg, Head of Research, CapitalVia Global Research:
Following a positive trend in global markets, Indian equities benchmarks stayed in the green in the morning. Sentiments turned positive as Finance Minister Nirmala Sitharaman urged ministries to go above and beyond their capital expenditure (capex) commitments for this fiscal year, emphasizing that increased spending will be important in reviving the economy following the pandemic. On Tuesday, global stocks fell as new coronavirus outbreaks in Asia competed with strong consumer confidence in the United States and Europe, and investors worried about whether the Federal Reserve might speed up its plan to end loose monetary policy.
We witnessed some recovery in the market and an attempt to hold the Nifty 50 index level of 15800. 15800 will be an important level in the short term for the market to stay positive. Most of the sectors in the market remain in the positive zone. Kotak Bank and Infosys are the top gainers while Power Grid and Shree Cements are the top losers on Nifty.
DGCA extends ban on international flights till July 31
The Directorate General of Civil Aviation (DGCA) has extended the ban on scheduled international flights till July 31.
Jet Airways was quoting at Rs 133.10, up Rs 6.30, or 4.97 percent, Interglobe Aviation was quoting at Rs 1,735.80, up Rs 6.90, or 0.40 percent and SpiceJet was quoting at Rs 82.10, down Rs 0.10, or 0.12 percent on the BSE.
Oil rises a second day as stockpiles fall, supply tightens
Oil prices on Wednesday extended the previous day's small gains after an industry report showed UScrude stockpiles fell last week, overriding trader and investor concerns about transportation curbs in some countries as COVID-19 cases surge.
Market at 12 PM
Benchmark indices were trading higher with Nifty above 15800 supported by the bank, IT, metal and auto stocks.
At 12:03 IST, the Sensex was up 285.30 points or 0.54% at 52834.96, and the Nifty was up 78.50 points or 0.50% at 15827. About 1807 shares have advanced, 1040 shares declined, and 105 shares are unchanged.
Power Stocks in focus:
Cabinet may approve Rs 3.03 lakh crore for reform-based power distribution scheme, quoting Source, reported CNBC-TV18.
June auto sales likely to improve over May; experts see better days ahead
Automobile companies may report better sales numbers for June 2021 than the previous month on the back of easing lockdown restrictions in states amid a steady decline in new coronavirus cases. On a year-on-year (YoY) basis, numbers expected to be mixed, say experts.
Overall, the auto sales numbers are not strictly comparable on a YoY or month-on-month (MoM) basis due to the unprecedented situation amid the pandemic. The monthly auto sales data will be released by companies from July 1. Read More
Rupee Updates:
Indian rupee is trading at day's low level at 74.44 per dollar, amid buying seen in the domestic equity market.It opened flat at 74.22 per dollar against previous close of 74.23.
BSE Information Technology index rose 1 percent supported by the Sasken Technologies, Tata Elxsi, Nucleus Software Exports
AnandRathi on PNC Infratech:
The recently-received appointed dates for a host of new orders pave the way for PNC Infratech to further build on the strong FY21 close. Hence, an even better scale of operations is in sight. The continuing net cash balance sheet is an augury, ensuring that the execution ramp-up is swift and bidding capacity, buoyant.
Success with asset monetisation efforts underway hold potential to add further strength to the balance sheet and, in turn, heighten growth prospects. With key growth requisites in place and them paving the way to a brighter future, we retain our buy rating with a higher target price of Rs 323 (from Rs 311 earlier).
ICICI Direct:
Overall volatility in the rupee is declining as no major triggers are seen in the Dollar index. However, we feel the rupee is near its support of 74.25 and a move towards 74.6 is expected.
The dollar-rupee June contract on the NSE was at Rs 74.50 in the last session. The open interest fell 2.7% for the July series
S&P BSE Smallcap added over half a percent led by Uflex, Sasken Tech, Vindhya Telelink and Central Bank of India
Graphite India shares gain
The company reported a net profit of Rs 64 crore in the quarter ended March 2021 against a loss of Rs 7 crore in the year-ago period. The sharp turnaround in profits was driven by a dip in material costs resulting in positive EBITDA margins in the current quarter. Research and broking firm ICICI Direct has maintained a buy call on the stock with a target of Rs 800 per share.
"During Q4 FY21, electrode prices started to recover from the lows. Furthermore, with increased steel production around the world, demand for electrodes has started to pick up and prices have started to stabilise. This augurs well for Graphite India, which is the largest Indian producer of graphite electrode," it said.
Market update at 11 AM:
Sensex is up 306.04 points or 0.58% at 52855.70, and the Nifty added 84.40 points or 0.54% at 15832.90. Kotak Mahindra Bank, Infosys and Coal India are the top gainers while Kotak Mahindra Bank, Reliance Industries and Cipla are the most active stocks.
Among the sectors, PSU Bank, metal and IT indices added a percent each while teh midcap and smallcap indices are also trading in the green.
Anil Kumar Bhansali, Head of Treasury, Finrex Treasury Advisors:
A very range-bound rupee with RBI sitting on both sides and not allowing even a 10 paise move for the last five days. Rupee to remain in range of 74.05 to 74.45. No particular triggers except month-end selling from IT companies. Quarter end data will be released after market hours.
Rupee Opens:
Indian rupee openedflat at 74.22per dollar on Wednesday against previous close of 74.23, amid buying seen in the domestic equity market.On June 29, rupee ended marginally lower at 74.23 per dollar against Monday's close of 74.19.
Nifty PSU Bank index rose 1 percent led by the Central Bank of India, IOB, UCO Bank, Punjab and Sind Bank
Indiabulls Housing Finance to raise over Rs 7,000 crore:
Indiabulls Housing Finance said its board has approved a proposal to raise over Rs 7,000 crore through various means.
This includes USD 275 million (Rs 2,043.43 crore) by issuing equity shares or other instruments.
The company's fund mop-up plan is subject to shareholders' approval in the upcoming annual general meeting (AGM) to be held in late July.
Indiabulls Housing Finance was quoting at Rs 263.70, down Rs 0.30, or 0.11 percent on the BSE.
Market Updates at 10 AM
Benchmark indices erased some of the early gains but still trading higher with Nifty around 15800 level.
The Sensex was up 177.68 points or 0.34% at 52727.34, and the Nifty was up 50.10 points or 0.32% at 15798.60. About 1760 shares have advanced, 887 shares declined, and 90 shares are unchanged.
Maruti Suzuki, Divis Labs, JSW Steel, Tata Steel and SBI Life Insurance were among major gainers, while losers included Power Grid Corp, Adani Ports, ICICI Bank, NTPC and Grasim.
Lupin receives tentative USFDA approval
Lupin has received tentative approval from the United States Food and Drug Administration (FDA) under the US President's Emergency Plan for AIDS Relief (PEPFAR) for its New Drug Application for Dolutegravir, Lamivudine and Tenofovir Disoproxil Fumarate (TLD) Tablets, 50 mg/300 mg/300 mg, and antiretroviral Fixed Dose Combination (FDC). This product would be manufactured at Lupin’s Nagpur facility in India, company said in the release..
Lupin was quoting at Rs 1,161.85, up Rs 0.85, or 0.07 percent on the BSE.
Gold set for biggest monthly drop since 2016:
Gold was hovering around an over two-month low on Wednesday as investors awaited U.S. jobs data for further clarity on the Federal Reserve's policy stance, with the precious metal heading for its worst monthly drop since November 2016.
